The Colombo Port City Project (CPC or the “Project”) is the most prominent Chinese direct investment in Sri Lanka. The case study highlights the prospects and resilience of a BRI project in the cyclical process of democratic decay and consolidation in a host state with democratic dispensation and welfare commitments. It traces the geopolitics of the day and dynamics between the transnational discourse on human rights and investment. From a Chinese perspective, it reveals the contingencies of each BRI project and the inherent entanglement between the politics of the Chinese state and its corporations involved in the BRI with the sociopolitical realities of a host state. From a Sri Lankan perspective, this study reveals the different political and legal narratives around the Project, the challenges these generated, and the resilience of the Project. It combines a legal doctrinal approach with commentary on its political economy, focusing on the litigation and legislation concerning the CPC. Further, it offers insights into the prospects for dealing with foreign investment-related legal disputes through the public law of a host state, thereby capturing the methods by which the domestic legal sphere of a host state responds to the BRI.